LIFT Act
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Summary
The LIFT Act amends the Internal Revenue Code to create a federal tax credit for issuers of American infrastructure bonds. Under the bill, state and local governments issuing bonds for infrastructure projects would receive direct payments from the federal government equal to a percentage of interest payments on those bonds—42% for bonds issued 2026–2030, declining to 30% by 2033 and thereafter. The bill also modifies rules governing advance refunding of municipal bonds and includes Davis-Bacon Act requirements for projects financed with these bonds.
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